Dow Jones futures dropped Thursday morning after a heavy slate of economic news, including the Labor Department’s first-time jobless claims and U.S. retail sales. Tesla stock continued lower Thursday after it snapped a historic win streak Wednesday.
Initial unemployment claims unexpectedly rose to 262,000 vs. 261,000 in the previous week. They were expected to fall to 248,000.
Further, Commerce Department’s May’s U.S. retail sales rose 0.3% vs. April’s 0.4% rise. Econoday estimates expected retail sales to fall 0.1%. Meanwhile, other economic releases included manufacturing indexes from the Philadelphia and New York federal reserve banks, and May import/export prices.
The Empire State manufacturing index rose to 6.6 for June vs. -31.8 in May. And the Philly Fed manufacturing index remained in contraction, with a -13.7 reading.
On the earnings front, Jabil (JBL), Lennar (LEN) and Kroger (KR) were key reporters Thursday morning. Software giant Adobe (ADBE) will deliver results after the close.
Jabil dropped almost 1% in premarket trade after the company’s fiscal-Q3 results. Kroger slid nearly 3% in early morning trade after sales missed estimates.
Lennar reported better-than-expected fiscal second-quarter profits and sales late Wednesday, delivering better than 1,000 more homes than was predicted as a tightening U.S. housing market shows strong demand for new construction. Lennar stock advanced 3.3% early Thursday.
Stock Market Today
EV giant Tesla (TSLA) snapped a 13-day win streak Wednesday, and skidded another 3% Thursday morning. Dow Jones tech giants Apple (AAPL) and Microsoft (MSFT) were lower ahead of today’s stock market open.
Dexcom (DXCM), Floor & Decor (FND), Kinsale Capital (KNSL) and Churchill Downs (CHDN) — as well as Dow Jones stocks Cisco Systems (CSCO), JPMorgan Chase (JPM) and Salesforce (CRM) — are among the best stocks to buy or watch in the stock market uptrend.
Tesla is an IBD Leaderboard stock, while Floor & Decor was a recent IBD Stock Of The Day. Churchill Downs featured in this week’s Stocks Near A Buy Zone story.
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Dow Jones Today: Oil Prices, Treasury Yields
Ahead of Thursday’s opening bell, Dow Jones futures fell 0.1% vs. fair value. S&P 500 futures dropped 0.3%. Nasdaq 100 futures declined 0.5% in morning action, with Tesla and ASML Holding (ASML) dragging at the bottom of the index.
Among U.S. exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) traded down 0.5%, while the SPDR S&P 500 ETF (SPY) fell 0.3% early Thursday.
After Thursday’s jobless claims and retail sales, the 10-year U.S. Treasury yield rose to 3.81%. On Wednesday, the 10-year yield ticked lower to 3.79% after the Federal Reserve’s rate decision.
Oil prices continue to hold near their recent lows following Wednesday’s losses. West Texas Intermediate futures rose around 1% Thursday, trading around $69 a barrel.
Stock Market Action
While the Nasdaq composite closed roughly 0.4% higher Wednesday, the S&P 500 barely nosed into higher ground, up less than 0.1%. However, the price-weighted Dow Jones Industrial Average sank nearly 0.7%. A lot of that had to do with a warning from one of its most expensive components (at least on a per-share basis), UnitedHealth Group (UNH), which dived 6.4%.
Wednesday’s Big Picture column commented, “Another reason why Wednesday’s session proved bullish for the S&P 500? The strength of its advance on Wednesday eliminated the May 31 distribution day from its 25-session count. Why? At Wednesday’s high of 4391, the index rose 5% from the May 31 session’s close.”
Now is an important time to read IBD’s The Big Picture column amid the ongoing stock market uptrend.
Five Best Dow Jones Stocks To Buy And Watch Now
Dow Jones Stocks To Buy And Watch: Cisco, JPMorgan, Salesforce
Dow Jones networking giant Cisco Systems is further past a 50.58 buy point in a cup-with-handle base, posting a 0.3% rise Wednesday. CSCO stock fell 0.6% Thursday premarket.
Dow Jones banking leader JPMorgan is just below a 143.37 flat-base buy point after Wednesday’s 0.4% loss. JPM stock dipped 0.5% early Thursday.
Salesforce rallied past alternative entries at 193.91 and 200.00 in recent weeks, according to IBD Leaderboard analysis. In recent weeks, shares reached the 20% profit zone from a 178.94 cup-with-handle entry, and are now trying to bounce from support at the 10-week line. CRM stock dropped nearly 1% Thursday morning.
4 Top Growth Stocks To Buy And Watch In The Stock Market Rally
Best Stocks To Buy And Watch: Dexcom, Floor & Decor, Churchill Downs
Dexcom regained a flat base’s 126.44 buy point, with a 0.9% advance Wednesday, according to IBD MarketSmith pattern recognition. The 5% buy area goes up 132.76. DXCM stock edged lower premarket Thursday.
IBD SwingTrader stock Floor & Decor decisively regained its 50-day line during last week’s gains, placing the flooring retailer in a new buy area. FND stock is 5% away from a conventional buy point at 101.39. Shares were off 1% early Thursday.
Insurance leader Kinsale Capital closed Wednesday back below a 345.75 buy point amid a 2.4% decline in the session. The buy zone runs up to 363.04. KNSL stock was unchanged Thursday morning.
Last week, IBD Leaderboard watchlist stock Churchill Downs found support around its 50-day line, triggering a bullish signal with an alternate entry near 139. But the stock is still around that level, as it also traces a flat base with a 150.45 buy point. Shares edged lower early Thursday.
Learn How To Time The Market With IBD’s ETF Market Strategy
Best Stocks To Buy And Watch In Stock Market Rally
These are four best stocks to buy and watch in today’s stock market, including a Dow Jones leader.
|Company Name||Symbol||Correct Buy Point||Type Of Buy Point|
|ASML||(ASML)||683.18||Cup with handle|
Source: IBD Data As Of June 12, 2023
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
IBD Leaderboard stock Tesla dropped 0.7% Wednesday, reversing from a new 2023 high and snapping a 13-day win streak. Shares are far above a double-bottom base’s 207.79 buy point. Shares closed Wednesday 19% off their 52-week high.
TSLA stock threatened to add to Wednesday’s losses, skidding 3.3% Thursday morning.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple stock climbed 0.35% Wednesday, holding near its all-time highs reached last week at 184.95. The stock continues to hold sharply above a 157.38 buy point. Early Thursday, AAPL stock was down 0.5%.
Microsoft shares rose 0.9% Wednesday, notching a fifth-straight session and hitting a new high at 339.04. MSFT stock continues to hover around the 20%-25% profit-taking zone from a 276.76 flat-base buy point, so investors take at least some profits. And on Thursday morning, Microsoft shares were 0.6% lower.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
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